What impact will climate change have on UK business and economy?

Since the end of
the 1800s the Earth’s average temperature has risen 1.1°C, most of which has come in the
last three decades. With climate change being a reality, battling it should be
relatively high on the governments’ list of priorities.

Global warming is
already affecting our lives, with rising sea levels, shrinking ice caps and
destructive tornados. But do we know to what extent climate change could change
all aspects of our life – specifically business and trade?

Production of food

Farmed animals and by-products make up 32,000 million tonnes
of CO² per year which is over 50% of all global greenhouse gas emissions.
According to the Food and Agriculture Organization of the United Nations animal
farming is to blame for more greenhouse emissions than exhausts from all
transportation put together.

Considering that the World Health Organization has branded
climate change the ‘greatest
threat to global health in the 21st century’, could it be possible
that agriculture — a sector blamed for producing a lot of carbon emissions — will
be penalised in the future?

Greater taxes on the industry will reduce the profit margins
of businesses operating within it. This could lead to reduced numbers of
farming and agricultural businesses, which would have an effect on the amount
of food produce the UK would have to import and how much it can export.

Transportation

According to the European Commission, the impact climate
change will have on infrastructure will differ across the EU, with some
countries being in more danger than others. Surprisingly, infrastructure
promises to be greatly affected by changes in weather patterns and temperature.

Firstly, global warming means more intense heatwaves. Extreme
heat can damage major roads, which may lead to more congestion and affect how
easily and quickly people can travel to work day by day. In turn, this reduced
efficiency could negatively impact productivity in the workplace and affect the
job landscape. If it’s harder for employees to commute, companies will have to
put more money and effort into offering incentives to make travelling easier in
order to attract the best workers, which may impact on profits — especially
detrimental to small and mid-size companies.

Of course, most countries have already built infrastructure
that can withstand the pressure of local weather — but what happens if this
weather changes? If an area is subjected to a growing number of storms and
precipitation, this will reduce the longevity of structures like bridges and
roads. This means that local authorities may have to use more public spending
to maintain and repair infrastructure to ensure its safety — money that could
have been used elsewhere.

Refugee’s

The UN Refugee
Agency believes that, in time, adjustments to weather and the environment will
eventually become the biggest initiator of population relocation. According to Friends of
the Earth, changes to the environment has
displaced millions of people as they’ve been forced to leave their homes due to
climate change, which has adversely affected their livelihoods or living
situations.

Growing food to
feed a population becomes almost impossible in extreme heat. During the Syrian
drought of 2006-2009, approximately 1.5 million people left the nation and by
2100, around 75% of the global population might be exposed to deadly climate
situations.

The Paris
Agreement and other similar initiatives are attempting to slow down changes to
the environment and weather. However, it’s an ongoing issue and extreme weather
may continue to displace populations. This could put an initial strain on
national economies, housing, education, and medical care until people
assimilate themselves into their new home country.

Potential positives of global
warming

Climate change is,
understandably, feared and thought of as a negative part of our world. However,
could the drive for controlling it bring positive effects to the UK?

Firstly, a greater
demand for green products and research into eco-friendly technology will lead
to a surge in jobs in this sector.

Water management advances
— due to the risk of rising sea levels and high winds — will also help those
residing in flood-risk districts. Again, this is a positive when you consider
how devastating flooding can be and it will also allow for more housing
projects to take place in areas previously deemed ‘at risk’. This, in turn, may
ease the pressure on providing adequate housing for families.

Lastly,
eco-friendlier electric cars will also likely increase in number and use, which
will mean less production of harmful exhaust emissions. If more daunting
statistics regarding the detrimental effects of climate change are taken
seriously enough by the government, we could see a greater push towards cleaner
vehicles like these which will improve air quality for pedestrians and
motorists alike.

It’s time for governments
to take notice and turn climate change into a positive before it’s too late.